Astral Mining Corporation

Astral Mining Corporation

August 03, 2006 10:23 ET

Astral Intersects High-Grade on Gold Springs Property, Nevada

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 3, 2006) - Astral Mining Corporation (TSX VENTURE:AST) is pleased to announce results for the first three holes from its ongoing reverse circulation (RC) drilling program on its Gold Springs epithermal gold property which straddles the Utah/Nevada border and has potential to host both high-grade vein and bulk tonnage precious metal deposits. Hole GS-06-1 intersected a north-northeast striking quartz vein in the hangingwall (east side) of the main Jumbo vein assaying 7.24 g/t gold and 28.9 g/t silver over 6.1m, including a 1.5m interval which assayed 20.74 g/t gold and 53.4 g/t silver. This intercept, along with high-grade vein intercepts from previous drilling (PD) in the hangingwall of the Jumbo vein (17.1 g/t gold over 3.0m in hole J-88-4 collared 90m to the south(1)), highlights the potential of this section of the Jumbo zone to host bonanza-grade quartz-gold veins. More drilling will be required to determine the grade distribution and continuity of these veins in the poorly-tested hangingwall to the Jumbo vein.

Holes GS-06-1 to GS-06-3 span a north-south distance of 225m and were all drilled towards the west (see table 1). Hole GS-06-2 intersected the Jumbo vein at 131.1m depth where it assayed 1.59 g/t gold and 37.4 g/t silver over 3.0m. Elevated gold mineralization occurs in the immediate footwall of the Jumbo and lower in the hole between 150.9m and 157.0m where stockwork mineralization averaged 0.55 g/t gold and 3.8 g/t silver over 6.1m. Hole GS-06-3 intersected anomalous gold-silver mineralization over most of the hole, with results ranging from less than 3 ppb to 386 ppb gold and 0.2 to 23.7 g/t silver.

The primary aim of the current drill program is to test three main geological-geophysical targets; the Jumbo vein and stockwork zone, the Jennie North anomaly and the Etna stockwork zone. Due to high water flow rates and the limitation of RC drill rig being utilized, testing of the deep ( greater than 300m) geophysical resistivity anomaly below the Jumbo zone has not been possible. Drilling in the Jumbo area has focussed on testing the northern half of the zone which has not been previously drilled and to cutting the vein zone at greater depths. To date nine holes have been completed for a total of 1,665m, all with the exception of one hole that tested the Jennie North target have been on the Jumbo zone. Two holes have been drilled from the west to east to test the footwall (west side) of the Jumbo vein. One hole is planned to test the Etna zone below any previous drilling.

Technical summary:

The Jumbo vein can be mapped on surface for 760m and ranges in width up to 7.5m, locally splitting into a 20m wide "vein zone", hence the name "Jumbo". The Jumbo vein is enveloped by a stockwork/alteration zone up to 100m wide, collectively called the Jumbo zone, and is hosted by a thick sequence of layered andesites. The current drilling program was designed to test the north striking Jumbo vein zone at depths greater than the previous generations of shallow drilling conducted by Energex Minerals in 1988 (8 holes) and Ranchers Exploration in 1974 (3 holes) in addition to testing the northern un-drilled northern half of the zone. In addition to the main Jumbo vein there are a number of north-northeast striking veins in the hangingwall and footwall ranging up to several metres in width that have been targeted in the current program.

Hole GS-06-1 was collared to the east of the Jumbo vein and was drilled west at -75 degrees to a depth of 161.5m. The hole intersected a north-northeast striking quartz vein over an interval of 9m from 24.5m to 33.5m on the east side of the main Jumbo vein which assayed 7.24 g/t gold and 28.9 g/t silver over 6.1m, including a 1.5m interval which assayed 20.74 g/t gold and 53.4 g/t silver. Stockwork veinlets and silica flooding occurred between the hangingwall vein and the main Jumbo vein. This zone from 25.9m to 68.6m averaged 1.47 g/t gold and 9.9 g/t silver over 42.7m (including the hangingwall vein). The Jumbo vein was weakly anomalous in gold and silver. Hole GS-06-1 lies along one of the northernmost drill sections tested by previous operators along with holes J-74-1 and J-88-6 (PD) drilled to the west at -50 degrees and -65 degrees, respectively. It is unclear where exactly the collars of these holes were with respect to hole GS-06-1 but they are believed to be relatively close. Apparently neither of these holes encountered a high-grade vein up-dip from where it was encountered in GS-06-1; both had gold-silver intercepts related to the Jumbo vein at lower depths.

Hole East- North- Azi- Incli- From To val Gold Silver
Number ing ing muth nation (m) (m) (m) (g/t) (g/t)
GS-06-1 761405 4198927 270 75 25.9 68.6 42.7 1.47 9.9
Including 25.9 32.0 6.1 7.24 28.9
and 27.5 30.5 3.0 12.87 35.6
and 27.5 29.0 1.5 20.74 53.4

GS-06-2 761458 4198702 275 -65 131.1 135.6 4.5 1.22 34.8
Including 131.1 134.1 3.0 1.59 37.4
Including 132.6 134.1 1.5 2.13 46.8
150.9 157.0 6.1 0.55 3.8

GS-06-03 761496 4198827 270 -50 123.4 173.7 50.0 0.14 5.42

Hole GS-06-2 was collared 45m east of hole J-88-7 on the east side of the Jumbo vein and was drilled to the west at an angle of -65 degrees to a depth of 158.5m. The drill hole encountered mineralization in the Jumbo vein from 131.1m to 134.1m that averaged 1.59 g/t gold and 37.4 g/t silver over 3.0m. Hole J-88-71 (PD) was drilled at -65 degrees to a depth of 73.2m and intersected 8 g/t gold and 43.0 g/t silver over 1.5m at the end of the hole, 50m up-dip from the Jumbo intercept in GS-06-2. A zone of footwall stockwork veins between 150.9m and 157.0m in GS-06-2 averaged 0.55 g/t gold and 3.8 g/t silver over 6.1m.

Hole GS-06-3 was collared to the east of the Jumbo vein and drilled due west at an angle of -50 degrees to a depth of 176.8m. This hole contained anomalous values of gold and silver with results ranging from less than 3 ppb to 386 ppb gold and 0.2 to 23.7 g/t silver. The interval between 123.4 and 173.7m averaged 0.14 g/t gold and 5.42 g/t silver over 50m. Holes J-88-4 and J-88-5 (PD) where collared 75m to the west along the same section and were drilled to the west at -50 and -64 degrees, respectively. J-88-4 intersected 17.1 g/t gold and 42 g/t silver over 3.0m and J-88-5 intersected 12.5 g/t gold and 31 g/t silver over 1.5m from in a hangingwall quartz vein in the upper part of the holes1. This vein was not identified in GS-06-3 which cut approximately 70m down-dip of the vein intercept in holes J-88-5 (PD); the closest GS-06-3 came to J-88-5 was 45m.

A 43-101 report on the Gold Springs property authored by Gregory Smith, a Qualified Person as defined by National Instrument 43-101,has been filed on the SEDAR website at Detailed descriptions of the Company's properties and agreements as well as financial and other information about Astral are disclosed in the amended and restated prospectus dated February 3, 2005, also available on SEDAR. All assays reported in this release from the current drilling program were carried out by American Assay Laboratories, an internationally recognized full-service laboratory located in Sparks, Nevada. The current drilling program is being carried out under the supervision of Qualified Person John Rice, C.P.G.. The technical information contained in this release has also been reviewed by Dr. David A. Terry, P.Geo., Vice President Exploration for Astral and a Qualified Person as defined in National Instrument 43-101.

In addition to the Gold Springs property in Nevada Astral holds a 100% interest in the Scraper Springs and Emmy properties along the northern extension of the Carlin Trend, the REF gold property at the southern end of the Battle Mountain-Eureka Trend and the Roy and Hills properties in the Walker Lane. In British Columbia, Canada the Company holds an option to earn a 60% interest in the JJ intrusive-hosted gold property. Detailed descriptions of the Company's properties can be found on its website at The company is also currently reviewing a number of acquisition opportunities in significant mining camps in Nevada.

Astral Mining Corporation is a Canadian-based company engaged in the exploration and development of precious mineral properties in North America. By focusing on exploration in mining-friendly districts the company minimizes the political and social risks encountered in many other parts of the world. With an experienced technical team and seasoned management Astral is poised to leverage this expertise into early exploration success.


Mr. Manfred Kurschner, President & CEO

(1) These historical assays have not been verified by Astral Mining and were reported in a report entitled: "Summary Report on the Gold Springs Joint Venture prepared for Energex Resources Inc. by David A. Caulfield, November 1988".

Cautionary Note to US Investors: This news release may contain information about adjacent properties on which we have no right to explore or mine. We advise U.S. investors that the SEC's mining guidelines strictly prohibit information of this type in documents filed with the SEC. U.S. investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on our properties. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

2006 Number 7

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